President Donald Trump’s tariff plans have rattled the business world, contributing to a combination of stock market volatility, a weakened dollar, and mounting fears of inflation and recession. Among the business leaders who have lashed out is billionaire investor and entrepreneur Mark Cuban.
In a recent post on Bluesky, Cuban said the U.S. economy would be in a “far worse situation than 2008” if the tariffs stay in place and Elon Musk’s Department of Government Efficiency (DOGE) keeps slashing the federal government, The Hill reported.
“If the new tariffs stay in place for multiple years, and are enforced and inflationary, and DOGE continues to cut and fire, we will be in a far worse situation than 2008,” Cuban wrote in the post.
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That’s a scary scenario, considering that 2008 was when financial markets tanked and the country was experiencing the Great Recession.
Here are four reasons Cuban says the tariffs and DOGE cuts could tank the economy harder than 2008.
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Consumer Prices Could Go Up
One of the main concerns about tariffs is that they will raise the cost of doing business for manufacturers, distributors, retailers and others — and those companies will simply pass the higher costs along in the form of higher consumer prices. Rising inflation could lead to less spending and a weaker economy.
Cuban addressed this issue in a Bluesky post, advising his followers to “buy lots of consumables now,” Business Insider reported. “Even if it’s made in the USA, they will jack up the price and blame it on tariffs.”
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The Stock Market Could Keep Going Down
While the stock markets have rallied in recent sessions, they remain volatile and are still well down for the year. As of Friday, April 18, the Dow had fallen nearly 8% since the beginning of 2025, while the S&P 500 had shed roughly 10%.
In a recent post on X, Cuban recommended not selling stocks during the downturn but then later deleted the post and replaced it with another, according to Business Insider.
“I decided to delete the last post where I gave my thoughts on the market,” the later post said. “As some other rightfully mentioned, no one knows. You have to look at your own circumstances and talk to those whose advice you value.”
Lower-Income Americans Could Suffer
One reason Trump favors tariffs is the money they produce would help pay for tax cuts. But as GOBankingRates previously reported, Cuban has said those tax cuts will mainly favor the wealthy.
The “poorest people” who make less than the standard deduction will be the biggest losers in the situation, according to Cuban. He explained that because they don’t pay income taxes, they won’t benefit.
Companies Are Changing Their Normal Spending Patterns
In his Bluesky post, Cuban noted that companies might be forced to delay growth plans in order to prepare themselves for a world with high tariffs. This, in turn, could lead to a slowdown in hiring and higher unemployment — especially since some federal workers have found themselves out of their jobs due to DOGE cuts.
“What some people aren’t factoring into their analysis is the reality that companies were buying tons of inventory to beat the tariffs,” Cuban wrote. “That’s cash taken from being able to invest or hire.”
Editor’s note on political coverage: GOBankingRates is nonpartisan and strives to cover all aspects of the economy objectively and present balanced reports on politically focused finance stories. You can find more coverage of this topic on GOBankingRates.com.
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This article originally appeared on GOBankingRates.com: Mark Cuban Says Tariffs, DOGE Cuts Could Tank US Economy Harder Than 2008 Recession — Here’s Why